I need land (lot) coverage. Can you help me?
Asked by Jean – Pennsylvania
Jean: Thanks for the submission!
Are you sure you need coverage? Is the land empty?
If it is empty and unused (there are no man-made structures, livestock, etc.), then your existing homeowners policy will probably cover your liability. (A renter’s policy likely would as well.) Ask your agent for guidance.
If it isn’t empty—maybe there’s a fence and a gaggle of grazing alpacas on the land—then you can probably get a rider added to your existing homeowners policy. Again, contacting your agent is the next step.
It might also be a good time to assess the overall adequacy of your liability coverage. If you have significant assets and exposure, you may want to consider getting an umbrella liability policy.
For a relatively inexpensive premium (a few hundred dollars annually) you can get up to $1 million in liability protection. The coverage kicks in if your homeowners policy comes up short.
To wrap up, I suggest you call your agent and explain the details of the land you’ve acquired. He or she will be able to get you the coverage you need.
Please note: InsureMe Answers is not intended to be a substitute for advice from a licensed professional. For specific questions about a policy or claim, please contact your insurance agent or company.